MOST CONSUMERS CONTINUE TO DEMONSTRATE CREDIT HEALTH RESILIENCY

San Francisco, CA. (February 27, 2023) – VantageScore released today the February 2023 CreditGauge, a monthly analysis designed to track consumer credit health in the United States.

The data shows that credit scores remain high for most consumers, though economic volatility is causing some consumers to struggle with making payments on time and lower balances. In particular, the auto finance and credit card markets are showing some signs of concern.

Key findings from the most recent CreditGauge analysis include:

AUTO FINANCE PRESSURE: 30 days-past-due auto loan delinquencies rose 0.5% versus a year ago due in part to higher monthly payments as a result of rising prices and interest rates.

CONSUMERS STILL SPENDING: The average credit card balance remained relatively flat at $5,868 with an average utilization rate slowing slightly to 30.8% from 31%. Credit card balances remain historically high as consumers continue to spend on goods and services that are more expensive due to inflation.

AVERAGE CREDIT SCORE RISES: The overall average national VantageScore 4.0 credit score rose to 700, due in part to expected seasonality and the planned adjustment to VantageScore 4.0 to remove medical debt which was implemented last month (January 2023).

To view the full CreditGauge report, visit the VantageScore website.

ABOUT CREDITGAUGE POWERED BY VANTAGESCORE:

CreditGauge is provided both as a monthly report to industry stakeholders, as well as through a series of interactive tools at VantageScore.com. Stakeholders can use the tools to execute additional queries on credit metrics and compare current levels to a pre-pandemic timeframe (starting with January 2020). CreditGauge represents the views and opinions of VantageScore and does not necessarily reflect or represent the views and opinions of its affiliates and owners, including the Nationwide Credit Reporting Agencies (NCRAs), Equifax, Experian, and TransUnion.

About VantageScore

VantageScore develops consumer credit scoring models that combine the need for both financial inclusivity and dependable predictiveness across all scoring ranges. Known as an industry thought leader, the company’s most recent models score approximately 96 percent of all adults 18 and older – including 33 million more people than conventional models – without sacrificing safety and soundness. As a result, lenders using VantageScore can extend credit to those who have been historically marginalized, including minority and lower-to-middle income Americans. VantageScore credit scores are used by thousands of lenders, landlords, utility companies, telecom companies, and many others to determine creditworthiness. Additionally, tens of millions of consumers rely on free access to their VantageScore credit scores to monitor their own creditworthiness.

VantageScore was launched in 2006 and is owned by America’s three NCRAs – Equifax, Experian, and TransUnion. Using a patent-protected tri-bureau methodology, VantageScore delivers time-tested, innovative, and more consistent credit scoring models across all three NCRAs.